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Ethanol Demand Growth and Related Impact on Corn and Poultry Markets
Dr. Ellene Kebede,
Tuskegee University, Tuskegee, AL
Dr. Curtis Jolly,
Auburn University, Auburn, AL
Giap V. Nguyen,
Auburn University, Auburn, AL
ABSTRACT
This paper used the Muth model to exemplify the market
linkages among the corn, ethanol and poultry industries. Ethanol demand is
price inelastic, but the blenders’ tax credit has a positive and significant
effect in lowering the price of ethanol, increasing ethanol demand and
increasing corn demand. Information from derived ethanol supply functions was
used to compute the marginal effect on poultry prices of changes in ethanol
production. Four different elasticities of substitution between corn and
non-corn input in ethanol and poultry production were used in the estimation.
The result showed that the increase in the elasticity of substitution between
corn and non-corn inputs in both industries will reduce the effect on poultry
prices. This research indicates a long-run need for non-corn input in both
industries in order to reduce the effect on the three markets and the rest of
the economy. Ethanol, known as gasohol, has been in the U.S. market since the
early 1940s, but economic, environmental and political factors led to the
current surge in the use of ethanol. Contributing to the surge were an increase
in oil prices, local air pollution, the global climate, dependency on foreign
sources, and an interest in enhancing farm incomes (Doornbosch and Steenblik
2007; de Gorter and Just 2007). Between 1980 and 2006, energy in the U.S.
increased by 28 percent Petroleum accounted for 17 percent of the increase, and,
by 2006, the transportation sector accounted
for 67 percent of the petroleum consumed in the U.S. Crude oil imports increased
from 34 percent to 65 percent between 1980 and
2007, and world crude prices increased
from $13 in 1980 to $90 per
barrel by the end of 2007 (Energy Information Agency 2008 and 2008a). Ethanol
and biodiesel, the two major biofuels that can blend with and be substituted for
petroleum, were non-existent as transportation fuels in the 1980s, but they
increased to 375 percent by 2004 (Energy Information Agency, 2008). With some
government assistance, ethanol had been in the U.S. market for a long time, but
it could not compete with the low price of gasoline (Tyner, 2007). The two
main factors contributing to the increase in the demand for ethanol are the
banning of Methyl Tertiary-butyl Ether (MTBE) as an oxygenate and the Renewable
Fuel Standard (RFS) of the Energy Policy Act of 2005.
Determinants of
Perceived Customer-Centrism in Managing Information About Customers
Dr.
Joseph S. Mollick, Texas A&M University-Corpus Christi, Corpus Christi, TX
Abstract
Consumers’ concern about information privacy grows as organizational processes
evolve in their ability to store and share information resources through the use
of databases and computer networks. We test the effects of three privacy
policies on customers’ perception of an organization’s customer centrism in the
way it manages the practices of sharing or disclosing information about
customers. Using a 2x2x2 experimental design and data from subjects who are
business students at a US university, the present study examines the effects of
policies concerning customers’ ability to authorize disclosure, ability to limit
target of disclosure, and customers’ ability to edit/delete data in
personal profiles over the Internet on customers’ perception of an
organization’s customer-centricism in managing customers’ personal
information. Results indicate that the hypothesized main effects of three
privacy policy variables on customers’ perception an organization’s
customer-centrism are statistically significant. Findings from this research
have implications for managers, customers, regulators, and researchers.
Organizations utilize information resources to achieve
their goals. Models of utilization of information and knowledge resources
involve collection, storage and sharing of these intangible resources (Widén-Wulff
and Suomi, 2007). Organizations implementing these models are increasingly
becoming information-intensive. Some information about customers, employees,
suppliers, and alliance partners are valued as private, confidential and
sensitive by the people about whom such information is collected. As
computerized information and communication systems become the network of nerves
and veins through which data flow within and between organizations, concern for
security and privacy of personal data increases (Khosrow-Pour, 2004; Korba, Song
and Yee, 2007).
The Determinants of
Movie Video Sales Revenue
Dr. Neil Terry, West
Texas A&M University, Canyon, TX
Dr. Anne Macy, West
Texas A&M University, Canyon, TX
ABSTRACT
This paper examines
the determinants of movie video sales in the United States. The sample consists
of 165 films released during 2006. Regression results indicate that the primary
determinants of video sales are domestic box office, rental revenue, time from
box office to video, sequels, children’s movies, restricted rating, and Academy
Award nominations. Specific results include the observation that domestic box
office revenue serves as a complement to movie video sales, while rental revenue
is a substitute. Children’s movies are worth twenty to twenty-five million
dollars more in video sales than other releases, because parents appear to
prefer buying over renting children’s movies. Time to video is inversely
related to video sales because motion picture companies take advantage of
marketing economies of scale by quickly moving films from the box office to the
video market. Domestic box office release exposure, foreign box office
performance, and budget do not appear to have a statistically significant impact
on movie sales revenue. The average budget of making a motion picture for
release in the United States has risen to almost fifty million dollars per
movie. This rising cost has resulted in motion picture studios seeking multiple
sources of revenue including domestic box office, foreign box office, product
placement, merchandising, video sales, and video rental revenue. A single movie
can be the difference between millions of dollars of profits or losses for a
studio in a given year (Simonoff & Sparrow, 2000). The purpose of this research
is to analyze the motion picture industry with a focus on the determinants of
movie video sales revenue. This manuscript is divided into four sections.
First, a survey of the related literature is discussed. The second section
provides the model specification. The third section puts forth an empirical
evaluation of the determinants of video sales revenue for 165 films released
during the year 2006. The final section offers concluding remarks.
Changes in the
Disclosure Regulatory Environment and Managers’ Timing of Earnings Announcements
Dr. Kirk L.
Philipich, University of Michigan – Dearborn, Dearborn, MI
ABSTRACT
Managers’ reaction
to changes in GAAP has been of interest to accounting researchers for decades.
Prior accounting research has documented that managers react to changes in GAAP
by changing their investment strategies (e.g. economic consequences) and by
changes in their disclosure strategies (e.g. early adoption). This paper
investigates if changes in the legal environment may also impact managers’
disclosure strategies. One particular disclosure strategy of interest to
accounting researchers is the perceived relationship between earnings news, good
or bad, and how quickly this information is released to investors. The timing of
earnings announcements based upon the type of earnings news, while appealing,
may not always be in the best interest of managers much less investors. This
paper examines this managerial behavior over an extended time period during
which a landmark legal case set standards for the timing of the release of
corporate information (SEC vs. Texas Gulf Sulphur) and a lesser known case that
spoke specifically to the release of bad earnings news (Financial Industrial
Fund vs. McDonnell Douglas). The results show that before the implications of
these cases were known, a strong relationship existed between the timing of the
release of earnings information with the type of earnings news being released.
Through time, as the ramifications of these legal cases on the disclosure legal
environment became well documented and known by corporate managers, this
relationship weakened and eventually completely dissipated.
The Utilization of a
Succession Plan to Effectively Change Leadership and Ownership in a Small
Business Enterprise
Kevin McNamara,
Chairman, Millington Lockwood, Inc.
Dr. John G. Watson,
St. Bonaventure University
Dr. Carol B.
Wittmeyer, St. Bonaventure University
ABSTRACT
The paper traces the
development of a succession plan with the owner of a small business enterprise
and the potential buyer of the organization to succeed the original owner in
running the enterprise. The buyer was a former employee of the organization
with other experience in the industry. This unusual agreement culminated with
an exchange of all the outstanding shares of stock from the original owner to
the new owner after a specified period of time. The cultural change that took
place during this time period is presented. The major benefits and learnings of
the succession plan are discussed. Finally, the authors present a succession
planning model for a small business enterprise. Millington Lockwood, Inc., is a
certified Herman Miller Company furniture distributor located in Western New
York and Western Pennsylvania. Millington Lockwood, Inc., was founded in
Buffalo, New York, in 1884 by Mr. Millington Lockwood. It is one of the oldest
companies in the region. In the fall of 1970, Mr. Kevin McNamara went to work
for Millington Lockwood, and in 1971 purchased the company from the then current
owner, Mr. Russell Koen who retired from the company. Mr. McNamara’s initial
investment was $12,500. He financed $10,000; he had $500 in cash and $2,000 from
the proceeds of the sale of his automobile. Under the tutelage of Mr. McNamara,
the company grew significantly over the years and sales increased from $600,000
to a level of $7.5 Million in 1992. That year Mr. McNamara decided to sell
Millington Lockwood, Inc. He queried his two daughters as to whether or not
they wanted to be involved in the company. Both daughters informed him they
were not interested in succeeding their father in the company.
International
Off-shoring: The Changes in the World Economy
Dr. Fred Maidment,
Western Connecticut State University, Danbury, CT
ABSTRACT
Public policy
responses by the major industrialized countries of the United States, the United
Kingdom, and Europe to the off-shoring of jobs to developing countries are
examined. The differences and the consequences of these policies are
discussed. Public policy responses and the importance of these responses to the
developed world and to the workers, citizens and, from the perspective of the
elected politicians, voters, is emphasized for the future wellbeing of these
societies. How the leaders of developed countries choose to deal with the
rapidly changing developments in a hyper-competitive, technological, global
economy will have great impact on the future success of those societies and the
people they represent. For decades the manufacturing sector of the US economy
has been sending jobs to less costly locations. Jobs left the Northeast and the
upper Midwest for the South in the textile, auto and other industries. Now the
textile industry has almost completely left the US and the auto industry is
becoming so globalized that it is hard to tell where a car was made. Jobs that
can be easily learned in a few minutes on an assembly line will always be in
danger of going to the lowest bidder. It does not take very long for a
relatively unskilled worker in a third world country to equal the level of
proficiency of a much more expensive employee working in a developed country to
do jobs requiring little or no skill. Technology in the workplace has changed
many things. It has allowed workers to become far more productive, but it has
also enabled much of the work to be done outside the developed world in
locations in the third world. Jobs that were once reserved for workers with
high levels of training and education in the developed world, may now be
performed by workers with those same levels of education and training in the
developing world. In the service sector/high technology industries, back-office
functions are being done by workers in the developing world. This is especially
true in the information technology sector of the economy, as well as the
financial and other service sectors (Flannery, 2004). There are other forces in
play.
Lake Area Tourism:
Making the Most of Your Day and Overnight Visitor
Dr. Annette Ryerson,
Black Hills State University, Spearfish, SD
ABSTRACT
Small tourism
destinations are feeling the crunch of tightening pocket books. It is necessary
for businesses to be aware of have viable market segments in order to service
This paper explores the travel habits and expenditures of 973 survey respondents
from a Midwestern lake area in South Dakota. Segmentation techniques and core
competencies were utilized to determine the most marketable segments for small
businesses. Much like other lake area communities, it is believed that this
research can be applied to other similar tourist destinations. Unlike package
and resort vacations, this research takes place in a recreational lake area
where it is possible to spend quality time with friends and family while
enjoying camping, boating, fishing and many other activities and not necessarily
spending a lot of money. This study seeks to identify the different segments of
visitors to the recreational lake area. Nine hundred and seventy three
individuals were willing to share their opinions, behaviors and expenditures
with regard to group they traveled with. This compilation of data has provided
insight into the minds of the lake area traveler. Recent research has indicated
that service marketing is more complicated to manage than actual product
marketing, due to the intangibility, variability, inseparability and
perishability of the product. (Appiah-Adu, Fyall, and Singh 2000). This study
will focus upon the local influences of travel and how proper market
segmentation can assist the community and local businesses in proper targeting
of these segments. It is anticipated that a study of this nature will assist
other small communities in their quest for enhanced tourism marketing. When
considering a flat economy that is currently hampered by rising interest rates
and rising gas prices, it is important to strategically segment the tourist
population. “Comprehending visitors’ behaviors is of immense importance in
developing actionable service and destination-specific marketing strategies.
Selected
Technological Advances and Organizations: Applications and Implications
Dr. Vivek Shah,
Texas State University-San Marcos, San Marcos, TX
Dr. Kamlesh Mehta,
Peace College, Raleigh, NC
ABSTRACT
When we think of the technological advances of the 21st
century, we wonder how they affect the world around us. From an organization’s
point of view, the increased use of technology raises the fundamental question:
what are the impacts of technology on the organization? This study examines the
financial impact of the internet, the impact of electronic monitoring, the
impact of virtual teams, and the impact of Internet security on organizations.
The organizations must tailor the use of technology to suit specific needs and
purposes. The advances in the Internet and the World Wide Web will continue to
change the world around us and the ways organizations conduct their operations
in the future. When we think of the technological advances of the 21st
century, we often wonder how they affect the world around us. The advances in
the Internet and the World Wide Web will continue to change the world around us
and the ways organizations conduct their operations in the future. The growth
of the World Wide Web has changed the stream of actions and flow of processes in
an organization. From an organization’s point of view, the increased use of
technology raises the fundamental question: what are the impacts of technology
on the organization? The impact the technology has on organizations is both
positive and negative. Of the special interest to an organization are the
applications of the current technological developments. Therefore, by examining
the financial impact of the Internet, the impact of electronic monitoring, the
dynamics of virtual teams, and the impact of internet and data security, this
study will illustrate the benefits and drawbacks that technology provides to the
modern day firms. The Internet is a powerful, influential resource and a robust
tool if properly used and leveraged and can allow organizations to flourish in a
financial capacity.
Exploring Drivers in
the Adoption of Mobile Commerce in China
Jun Zhang, Huazhong
University of Science and Technology, China
ABSTRACT
China, though
ranking first over the world in terms of mobile phone users, suffers a small
number of Mobile Commerce (MC) consumers. This study explores how Chinese
consumers are influenced to adopt MC. We employ a revised Technology Acceptance
Model (rTAM) to examining factors affecting Chinese consumers’ attitudes toward
this emerging mobile technology and applications. The proposed model was
empirically tested using data collected from a survey of mobile phone consumers.
Our survey indicates that consumer perceived ease of use (PEOU) influence
attitude toward using (ATU) MC. It is also found that consumer’s past adoption
behaviour, educational level, age, gender, and occupation affect their adoption
behaviour. The majority of positive relationships between PU, PEOU, ATU, past
adoption behaviour, and demographics are sopported by the empirical data. Our
research also supports the applicability of TAM to examine MC adoption by
Chinese consumers and validates the robustness of TAM to study new technologies
outside U. S. context. The rapid development of modern wireless communication
technology, coupled with the increasingly high penetration rate of the Internet,
is promoting mobile commerce (MC) as a significant application for both
enterprises and consumers (Lucas and Spitler, 2000). MC refers to commercial
transactions conducted through a variety of mobile equipment over a wireless
telecommunication network in a wireless environment (Gunsaekaran and Ngai,
2003). Currently, these wireless devices include two-way pagers/SMS (short
message systems), wireless application protocol (WAP)-equipped cellular phones,
personal digital assistants (PDA), Internet-enabled laptop computer with
wireless access capacity, and consumer premise IEEE 802.11(a/b) wireless network
devices (Leung and Antypas, 2001).
Business vs. Leisure
Travelers: Their Responses to Negative Word-of-Mouth
Dr. Young “Sally”
Kim, Shenandoah University, Winchester, VA
ABSTRACT
Despite the
importance of word-of-mouth, very little is known about how existing customers
react to negative word-of-mouth (NWOM). This study examines whether and how
existing customers respond to NWOM. Using the concepts developed in the existing
literatures, this study examines the roles of attribution, trust, and purpose of
travel in customers’ responses to NWOM. The study tests the hypotheses using a
self-administered mail survey of customers on their lodging experiences.
Customers’ attribution (i.e., attributing negativity of the information to the
company vs. the communicator) is found to be significant. Trust is also found
to have a significant influence on customers’ intentions to spread positive WOM
following a negative WOM incident. Finally, the study found business and
leisure travelers respond to NWOM differently. Word-of-mouth marketing, buzz
marketing, viral marketing, referral marketing---All these jargons appear
frequently in newspapers and business magazines, as well as academic journals,
pointing to the trend that companies actively pursue promotion of
customer-to-customer communication about their products and services. Effective
communication with customers has become a daunting task over the years because
of media fragmentation, (e.g., numerous cable TV options, the Internet), a large
volume of messages presented to customers on a daily basis, a number of choices
(brands) available to customers, and consumers’ busy life style (e.g., little
time to spend in front of TV). Faced with this challenging communication
environment, many companies started to realize a need to leverage the power of
word-of-mouth (WOM). Information disseminated through WOM is usually perceived
as more credible and powerful than the company’s own advertising message
(Traylor and Mathias 1983). Thus, some companies (e.g., Sony-Ericsson) have
employed a creative marketing communication program, in which company-hired
actors pretend as real consumers of the product and lure potential
customers (passersby on a busy street) in an attempt to influence their
perceptions of the product (e.g., Sony-Ericsson cellular phone with camera,
Vespa) (Business Week 2001).
Roadmap of
Co-branding Positions and Strategies
Wei-Lun Chang,
Tamkang University, Taiwan
ABSTRACT
Co-branding, is a marketing arrangement to utilize
multiple brand names on a single product or service. Basically, the constituent
brands can assist each other to achieve their objectives.
Co-branding is an increasingly popular technique
for transferring the positive associations of one company’s product or brand to
another. In the absence of a clearly defined
strategy, co-brand mergers are frequently driven by short-term goals to mistrust
and failure. In this paper, we identify critical factors of a successful
co-branding strategy, co-branding position matrix, and co-branding strategies
respectively. We also utilize certain real-world cases in order to demonstrate
our notions. Finally, this research aims to provide clues and a roadmap for
future research in co-branding issues. Co-branding, is a marketing arrangement
to utilize multiple brand names on a single product or service. Also,
co-branding can be seen as a type of strategic alliance between two parties.
Basically, the constituent brands can assist each other to achieve their
objectives. Obviously, creating strategic alliances by engaging in co-branding
has become increasingly popular across many industries. A successful co-branding
strategy has the potential to achieve excellent synergy that capitalizes on the
unique strengths of each contributing brand. Co-branding
is an increasingly popular technique for transferring the positive associations
of one company’s product or brand to another. In other words, creating synergy
with existing brands creates substantial potential benefits of various kinds. As
Gaurav Doshi notes in a recent 2007 article, such synergy: (1) expands the
customer base (more customers), (2) increases profitability (3) responds to the
expressed and latent needs of customers through extended production lines), (4)
strengthens competitive position through a higher market share), (5) enhances
product introductions through enhancing the brand image (6) creates new
customer-perceived value, and (7) and yields operational benefits through
reduced cost. The philosophy behind co-branding is
to attain advanced market share, increase the revenue streams, and improve
competitive advantages through customer awareness. A great deal of attention has
been focused on selecting a co-branding partner-not only the essentials of the
potential parties but a series of steps in selection process.
The
Effects of Frequent Commercial Exposures on Affective and Cognitive Response of
Chinese-American Audience
Dr.
Fu-Ling Hu,
Hsing Wu College, Taipei, Taiwan
Chao Chao Chuang, Hsing Wu College, Taipei, Taiwan
ABSTRACT
Frequency of TV advertising exposure is one of the crucial
determinants of increasing brand recall and awareness. However, from consumers’
point of view, as the quantity of advertising rises, the attitude of the
audience toward the advertising message also worsens and leads to tedium. TV
commercial is one of the most effective vehicles to communicate with
Chinese-American target audience. Thus, with raising TV advertising costs, it is
important to measure the commercial effects and investigate the consumers’
responses toward frequent commercial exposures. In the first part, the author
discusses the research problem in terms of TV commercial issues related to
Chinese-American audience. The second part reviews the literature related to
consumers’ responses toward frequent advertising stimuli. Finally, the paper
concludes the literature review and proposes implications, as well as directions
for future research.
In the past few decades, most research studies
related to advertising effects used two types of psychological responses, affect
and cognition, to measure consumers’ attitudes toward advertisements and
purchase intentions. A large number of research studies have been made either
from affective or cognitive system measuring individual differences when exposed
to a stimulus. Even if the impact of cognitive and affective interrelated
processing style had been made, it only focused on examining the consumers’
responses to advertisements in general (Ruiz and Sicilia, 2004). However,
previous research rarely deeply discussed how these two systems interdependently
influence consumers’ behaviors toward advertisements for a particular type of
medium or target market. In fact, no studies have ever tried to investigate
Chinese-Americans’ affective and cognitive response to frequent TV commercial
exposures. Many of the current studies examine the effects of frequent
commercial exposures on responses in general that may not correctly represent a
specific advertising medium on a target audience. Due to the intimate
relationship between affect and cognition, this research reviews two response
systems simultaneously to examine consumers’ responses toward frequent
commercial exposures. Most recent scholars reserve the term “ affect” to
describe an internal feeling state (Cohen, Pham, & Andrade, 2006). Affective
responses usually involve emotions, feelings, and moods (Olson & Peter 2005).
Factors Affecting
M&A Success: A Starting Point for the Topic Renaissance
Gabriele Carbonara,
Parthenope University of Naples
Caiazza Rosa,
Parthenope University of Naples
ABSTRACT
Despite a continuing increase in the number of mergers and
acquisitions (M&A), it has been argued that there is an insufficient theoretical
understanding of the elements that affect success of M&A process. This paper
contributes to research on mergers and acquisitions by developing an integrative
framework of the merger and acquisition process evidencing main elements that
lead merged firms to achieve a competitive advantage. In a perspective of
renaissance and renewal of this complex topic, the paper proposes a framework,
based on
classical
sources and well established literature, that improves and perfects previous
knowledge identifying the main factors affect firms’ ability to create
distinctive competencies through M&A. This framework resuming the most delicate
and important aspect of M&A process that affect the success of this operation is
a starting point for a renaissance and renewal of this complex topic. The
ambition of the merger and acquisition framework is nothing less than to
identify factor affecting competitive advantage derived from the process of
combination of two businesses and provide guidance to managers for avoiding to
destruct instead of create value. Unordinary events, such as M&A, expose firm to
the high risk of uncertainty depending on difficulties to combine two entities
with different structure, processes, procedures, systems and cultures. Despite
the empirical evidence that, on average, mergers fail to create value for the
acquiring firm’s shareholders, corporations continue to employ this strategy at
ever-increasing rates.
Leadership and the
Future: Gen Y Workers and Two-Factor Theory
Arthur M. Baldonado,
Ph.D.
Janice Spangenburg,
Ph.D.
ABSTRACT
Today’s workforce is
as diverse as ever. This paper explores the motivational needs of Gen Y and
their impact in the workplace based on Herzberg’s two-factor theory of
motivation. The participants consisted of Gen Y students at the University of
Hawaii. The author used a researcher-developed, written survey as research
methodology. The findings of the study revealed that Gen Y cohort placed great
importance to both hygiene and motivator factors in their motivational needs.
Growth and personal life were both important to Gen Y students. Managers must be
flexible in their managerial approach to Gen Y workers. Millennials, Echo
Boomers, Generation Y (Gen Y), and Nexters are some of the descriptors used to
identify and label the newest generational cohort entering the workforce (Dulin,
2005). Referred to as Gen Y in this study, Gen Y workers (individuals born
after 1980) have become a stronger and larger group in the workplace with more
than 29 million members entering the workforce in the last seven years (Martin &
Tulgan, 2001). Known as “Nexters” (Schlichtemeier-Nutzman, 2002, p. 35) because
they are the next wave of employees and “Echo Boomers” (p. 36) because they are
similar to their Baby Boomer predecessor’s size, Gen Y began entering the
workplace during the summer of 2000. Gen Y, born after 1980, is 81 million
strong, comprising 30% of the current United States population (Dulin, 2005).
With a very focused and involved Boomer parents, Gen Y grew up with busy
schedules—sports, music lessons, and scheduled play-dates occupying much of
their time. Gen Y has always had input in family decisions because their parents
constantly communicated with them (Lancaster & Stillman, 2002). In the
workplace, Gen Y appears to be more idealistic than Generation X, but a little
bit more realistic than Baby Boomers. Researchers describe Gen Y as
“considerably more optimistic and more interested in volunteerism than
Generation X” (Schlichtemeier-Nutzman, 2002, p. 49).
The Determinants of
Noneconomic Factors Affecting Economic Growth
Dr. Sontachai
Suwanakul, Alabama State University, Montgomery, AL
ABSTRACT
The Scope of
economics has broadened considerably in recent decades. Recently economists have
reached a consensus that successful explanation of economic performance must go
beyond narrow measures of economic variables to encompass political and social
forces. Culture can affect economic outcomes through economic preference.
Religious beliefs affect the economy by fostering personal traits. While
stronger religious beliefs stimulate growth because they help sustain individual
behavior that enhances productivity. High trust is conducive to economic growth.
Economic growth is influenced by many factors including culture, tradition,
religion, and ethnicity. However, economists typically neglect the influences of
these factors; though they realize the fact that successful explanations of
economic growth must go beyond narrow measures of economic variables to
encompass cultural and social forces. Classical economists, such as Adam Smith,
John Stuart Mill, Karl Marx, and Max Weber, were comfortable in using cultural
explanations for economic phenomena. Unfortunately, since 1930s the
institutional economics has gradually given way to the neoclassical theory of
general competitive equilibrium, which formalized the analysis of idealized
competitive markets. From the perspective of general equilibrium theory,
nonmarket factors, such as culture and religion, were not phenomena of intrinsic
interest. It is because the fact that the notion of culture is so broad and the
channels through which it can enter economic discourse so ubiquitous that it is
difficult to design testable, refutable hypotheses [Manski, 2000: Guiso, it el.,
2006]. In the decades immediately after World War II, as economic theory
increased its mathematical sophistication and the set of tools at its disposal
expanded, no need was felt to introduce additional potential explanatory
variables, especially those hard to measure.
Optimization of Multi-Currency Holdings for Multinational Corporation
Dr. Ken Hung,
Professor, National Dong Hwa University, Taiwan, R.O.C.
Yu-Ching Ho,
National Dong Hwa University, Taiwan, R.O.C.
ABSTRACT
For
multinational corporations, holding multi-currency becomes necessary to fulfill
daily operation.
The objective of this study is to build a new
multi-currency model which can optimize
foreign currency holdings to minimize total costs and increase capital investing
efficiency. The ARMA-GARCH model was used to
forecast foreign exchange rate to meet the real situation. Finally, this study
uses GA to solve an optimal order quantity problem of foreign currency for the
local multi-national corporation. The results can provide the decision makers of
multi-national corporations to optimize multi-currency holdings.
With
the growth of international business, more and more companies hold foreign
currencies as part of their working capital. As for multinational corporations,
holding multi-currency also becomes necessary to fulfill daily operation.
Holding foreign currency can avoid loss from volatile exchange rate and reduce
transaction costs. However, it also creates potential opportunity costs from
returns may be earned from other investments. How to optimize multi-currency
holdings to minimize total costs becomes an important task for multinational
corporations. Bessembinder (1994) and Chakrabarti (2000) indicated that holding
a foreign currency position imposes opportunity costs and exchange rate risk.
Lin and Chen (1997) used the Hamidi and Bell’s (1982) inventory model to analyze
data of a multi-national corporation. Their results showed that the bank's U.S.
dollars demand is normal distributed and the over holding of U.S. dollars
results in inefficient capital usage and higher holding costs. To build a new
multi-currency model, the ARMA-GARCH model is used to forecast the foreign
exchange rate to meet the real situation. The generalized autoregressive
conditional heterosedastic autoregressive (GARCH) model is now one of the most
widely used model to forecast the time-varying volatility observed in many
financial returns especially in stock returns, interest rates and foreign
exchange market (Bollerslev, 1986; Engle, 1982). Genetic algorithm is used as
optimization techniques for decision-making problems. It may be an attractive
optimal tool for the managers who can design their own cost function for
determining the order quantity. According to previous literatures, GA has been
already applied in the EOQ inventory model (Braglia and Gabbrielli, 2001; Mondal
and Maiti, 2002; Stockton and Quinn, 1993).
Does Trust influence
Supply Chain Management?
Dr. Vojko Potocan,
University of Maribor, Maribor, Slovenia
ABSTRACT
Organizations face
the question of how to assure their survival and development in the global
economy. Their business is important for establishing trust between inside and
outside members in their work and behavior. Creation of trust is important also
for supply chain management, as an area of integrated work within the frame of
the organization and/or as integrated cooperation between different
organizations. Supply chain management is a concept that includes the entire
supply chain, from the supply of raw materials through manufacture, assembly,
and distribution, all the way to the end customer. The nature of the
relationships among the different linkages within the supply chain can be viewed
on a continuum that goes from highly integrated at one extreme to temporary and
short-term trading commitments at the other. The organization can use either the
traditional or the modern approach for the formation of the supply chain. The
traditional supply chain access is based on considering vertical informational
connections. But for most organizations, the vertical connections are not
enough, so they extend those with horizontal connections. In this frame the
organizational dilemma is how to assure an appropriate level of trust, if we
understand trust as a necessary capacity and ability for appropriate work and
behavior of the participating members. This contribution discusses two theses:
1) How to define the role and importance of trust in supply chain management,
and 2) How to improve the level of trust among supply chain members. A dominant
logistics philosophy throughout the 1980s and into the early 1990s involved the
integration of logistic with other functions in organizations in an effort to
achieve the enterprise’s overall success (Nigel, 1996; Rushton et al., 2001;
The Corporate
Governance Characteristics of Financially Distressed Firms: Evidence from Taiwan
Chingliang Chang,
Kainan University, Taiwan
ABSTRACT
The recent financial
distress and bankruptcy of the US corporate giants suggest that boards have not
performed their fiduciary duties well. This paper examines which corporate
governance characteristics, if any, are correlated with financial distress by a
sample of Taiwanese listed firms. Hypotheses are tested by combining outside
directors, CEO duality, equity ownership by insiders, female directors, board
size, multiple directorships, and director tenure. Results from logistic
regression analysis show that board independence: boards with larger percentage
of outside directors are less likely to fall into financial distress than boards
with a lesser percentage. Another result indicates that there is a positive
correlation between board size and financial distress. This paper concludes with
some thoughts on the need for controlling CEO power when modeling the efficacy
of corporate governance. The financial distress of American corporate giants,
such as Enron, Worldcom, Adelphia, and Anderson, has led to criticism of boards
of directors and accusations that corporate boards aren’t doing their jobs. “We
think Enron board was asleep at the switch and fell down on the job,” said
Senator Carl Levin a member of the Senate investigations subcommittee
investigating the meltdown of Enron. (NYSSCPA. Org News Staff, 2002). Many of
the corporate governance reforms are intended to further the ability of
directors serving on corporate boards to perform their function effectively. To
what extent will these reforms prevent similar financial distress from
recurring? (Petra 2006).
How Machs Behave:
Self and Peer Ratings
Dr. Loretta F.
Cochran, Arkansas Tech University, Russellville, AR
Dr. David W. Roach,
Arkansas Tech University, Russellville, AR
Dr. L. Kim Troboy,
Arkansas Tech University, Russellville, AR
ABSTRACT
Faculty members are increasingly asked (and want) to
challenge students to think critically about a variety of issues, including
their own thinking/performance and the thinking/performance of others. Faculty
members try to prepare students for the “real” world. At the same time, class
size is increasing at many universities. Though not a substitute for instructor
evaluations, self and peer evaluations do offer a mechanism for providing
feedback regarding performance. Self and peer appraisals force students to
examine critically their own thinking/performance and the thinking/performance
of others. In their future work lives, students will almost certainly face the
issue of evaluation, either as the rater and/or as the ratee. It is in this
context that the current study investigates the use of peer appraisals in the
classroom. This study builds on previous research that found students could
provide accurate ratings. Given accurate student ratings, we consider if student
ratings can be affected by whether or not they expect to interact with and
discuss their ratings with ratees. The ability of specific personality
attributes, such as Machiavellianism, to moderate this relationship is also
considered. Specifically addressed is the impact of the interaction between
rater anonymity and power on leniency in subjective evaluation of a qualitative
assignment. Preliminary results indicate that there are some differences
requiring further exploration. Faculty members are increasingly asked (and want)
to challenge students to think critically about a variety of issues, including
their own thinking/performance and the thinking/performance of others. Faculty
members, especially business programs, try to prepare students for the “real”
world. At the same time, class size is increasing at many universities. Though
not a substitute for evaluations by the instructor, self and peer evaluations do
offer a mechanism for providing evaluative information regarding performance.
Self and peer
appraisals also force students to examine critically their own
thinking/performance and the thinking/performance of others. In their future
work lives, students will almost certainly face the issue of evaluation, either
as the rater and/or as the ratee.
A Study of
Management Efficiency for International Resort Hotels in Taiwan
Jung-Feng Cheng,
National Cheng-Kung University
Dr. Chia-Yon Chen,
National Cheng-Kung University
Dr. Chun-Chu Liu,
Chang Jung Christian University
ABSTRACT
In recent years, globalization has increased and the
barriers to travel gradually have disappeared, thus promoting rapid growth in
tourism worldwide. In 2002, the Taiwanese government began the “tourist
double-up strategy” which drove up tourism. Hotel enterprises expanded their
branches and national/international foundations and organizations all came in
for investment. The doubling of the markets also increased competition. This
paper endeavors to understand the business efficiency involved in operating
resort hotels by reviewing related document that comment on the advantages and
disadvantages of recreational hotels, the relative cooperative efficiency of
business types and analyzing the improvement measures of inefficient hotels.
This research applies Data Envelopment Analysis (DEA) to calculate the
production efficiency, pure technical efficiency, scale efficiency, slack
variable analysis, average overall technical efficiency score for independent
and chain hotels, average scale efficiency and average pure technical
efficiency, efficiency rank for distributed locations, scale returns, and
sensitivity analysis for each of the 13 evaluated international resort hotels in
Taiwan. The results provide information for future management enterprises. In
recent years, globalization has increased and the barriers to travel gradually
have disappeared. The rise in developing countries and increases in free trade
all promote rapid growth in tourism worldwide. In 2002, the Taiwan government
began the “tourist double-up strategy.” The total number of tourists traveling
to Taiwan in 2002 was 2,977,692 and the foreign exchange income was $US 4,584
million. In 2006, the tourist number increased to 3,519,827 with an income of
$US 5,214 million.
Traditional Small
Business Web Site Attitudes, Usage, and Satisfaction
Dr. Steven J.
Anderson, Austin Peay State University
Dr. John X. Volker,
Austin Peay State University
Dr. Michael D.
Phillips, Austin Peay State University
ABSTRACT
This paper presents
the results of a web site usage survey administered to a working population of
292 traditional small businesses and members of the local chamber of commerce of
a midsized southern town which produced a net usable response rate of 22%. The
traditional small businesses were selected out of a chamber of commerce
membership of 1900 by excluding franchised, governmental, insurance, medical,
and professional businesses and those employing more than 500 people. The
questionnaire, which contained a five point Likert scaled web site attitude
section, a specific traditional small business web site ownership and usage
section, and a five point Likert scaled web satisfaction section, was developed
and administered on a telephone interview basis in November of 2006. Results
indicated that overall traditional small business web site usage is greater than
literature reviews on small business might suggest with traditional small
business web site ownership and usage reported at 60%. Significant differences
between traditional small business demographics relative to web site ownership
are identified. Significant differences between traditional small business web
site attitude responses relative to web site ownership are also identified. A
rank ordered profile of traditional small business web site owner’s levels of
web site satisfaction is discussed with generally high levels of satisfaction
reported. The
internet and e-commerce has become an ever more pervasive presence and activity
in the economy of both the United States and the world. Although one might
expect small businesses to act in an entrepreneurial manner and embrace the web
and the internet, a review of the literature indicates that this is not
necessarily the case. An SBA (2000) report indicated that selling or e-commerce
over the web was not common for most small firms. Given the continued growth and
importance of the internet and the World Wide Web it becomes imperative that the
role of small business in its development be continually examined.
Gray Competitive
Model for Comparison of Household Electronic Appliance Industries in Taiwan and
Mainland China
Dr. Kuo-Wei Lin,
Hsuan Chuang University, Hsinchu City, Taiwan, R.O.C
Dr. Che-Chung Wang,
Shih Chien University,
Taipei,
Taiwan,
R.O.C
ABSTRACT
The Gray System
Theory is characterized by trying to find the best decision-making plan by
overcoming the conflicts and trade-offs between the objectives. This is most
useful when the information is incomplete and all the multiple objects wish to
obtain the greatest satisfaction. Currently this theory has been widely used in
management science, therefore, this study is aimed at applying the
characteristics of the Gray Theory to develop a model for evaluating the
competitiveness of the household appliance industry. Moreover, this model is
very simple in its application. A just and objective analysis on the
competitiveness of each enterprise can be done as long as the financial
statements publicized by the listed companies in past years are available.
Considering that the household appliance industries in Mainland China are now
rapidly expanding, the evaluative indexes in this study are particularly
established through analyzing the competitive situation and strategies of the
household appliance market in Mainland China. Finally, the financial data
publicized by the listed companies in both Taiwan and Mainland China will be
cited to verify the practicality of this model. The household appliance industry
is one of the most important industries that affects people’s lives. This
attracts an extremely large proportion of consumer consumption, so all the
highly industrialized nations attach importance to its development. When
Mainland China began to reform in 1979, the domestic household appliance
industry lagged a great extent behind other countries. However, after more than
20 years’ efforts to attract foreign investment and technology, Mainland China
has accumulated a lot in capital, technology, and experience. Therefore, the
current household appliance industry in Mainland China is no longer as weak as
in the past. In recent years, cashing in on its advantage of cheap labor and
land costs, China’s household appliance industry has even been promoted to the
international market.
Incidence of Social Protection Expenditure Convergence in the European Union
Dr.
Tiia Püss, Mare Viies, Tallinn University of Technology, Tallinn, Estonia
Reet
Maldre, Tallinn University of Technology, Tallinn, Estonia
ABSTRACT
Notwithstanding that social policy decisions are made on the EU Member States
level, operating in a common economic space as well as common objectives under
the Open Method of Coordination push social policies in Member States towards
convergence. This article seeks to evaluate and verify the presence or
non-presence of convergence in social protection expenditure in EU-15 countries
and find which have been the most significant conditional factors that have
influenced this process. We study the incidence of convergence in social
protection expenditure in the EU using absolute and conditional
b-convergence
tests.
Nevertheless, the organisation and financing of social protection systems is a
responsibility of each European Union (EU) Member State, the EU has a growing
coordinating role through the EU legislation to ensure adequate protection of
people. The promotion of closer cooperation among the EU Member States for the
modernisation of social protection systems started with the implementation of
the Open Method of Coordination (OMC) adopted in the EU Lisbon summit in March
2000. In the framework of the OMC, common social targets are negotiated and
common indicators to monitor the situation are defined, but the measures for
achieving the objectives are decided by the Member States. OMC guides the Member
States to work toward the common social policy goals of Europe, hence toward the
harmonisation of social levels. Notwithstanding that social policy decisions are
made on the level of EU Member States, economic integration as well as operating
in a common economic space also indirectly push social policies towards
convergence.Social protection expenditure in EU-15 increased in 1991-2005 in
connection with the expanding needs for and rise in the level of social
protection. Average social protection expenditure in EU-15 in 1991 was 25.2% of
gross domestic product (GDP), in 2005 27.8%, whereas Sweden spent on social
protection 32%, but Ireland only 18.2% of the GDP in 2005 (European, 2003;
European, 2008). Social protection expenditure per capita in the same period
increased from 3840 to 7364 purchasing power parity (PPS), whereas the amount
and change rate of the expenditure vary considerably from country to country.
The expenditures were the biggest in Luxembourg (12946 PPS) and Sweden (8529
PPS), the smallest in Portugal (4086 PPS) and Spain (4775 PPS).
Land Installment
Contracts: Legislative Swing in Seller’s Favor is a
Necessity in Today’s
Declining Housing Market
Sherri R. Heyman,
Esq, Law firm of Rosenburg, Martin, Greenberg, LLP, Baltimore, MD
Benjamin A. Neil,
Esq, Towson University, Towson, MD
ABSTRACT
In today’s sluggish,
but bargain filled real estate market, purchasers unable to qualify for
conventional bank financing, may still be able to acquire their dream homes if
seller financing, in the form of land installment contracts, is available (See
References). This alternative financing scenario affords a less than credit
worthy purchaser with the means necessary to become a homeowner. At settlement,
the purchaser takes possession of the property, while the seller retains actual
legal title. During the contract term, purchaser makes installment payments to
the seller until the contract price has been paid in full. In the event of
purchaser’s default, the purchaser forfeits all sums paid under the contract, as
well as the property. Due to the often harsh consequences of a default under a
land installment contract, many states have enacted statutes eliminating
property forfeiture as an available remedy. In addition, many courts of equity
have either refused to enforce forfeiture provisions, or have severely limited
their use in land installment contracts. This pro-purchaser intervention by
legislatures and judges across the United States has created uncertainty as to
the enforceability of forfeiture provisions, thereby resulting in a disincentive
for sellers to extend this form of financing to needy purchasers. This Article
will examine the shift in the United States from strict enforceability of
forfeiture provisions in land installment contracts, to the imposition of
procedural requirements prior to forfeiture, and even the total elimination of
forfeiture as a remedy. It will then address the impact such sweeping change
has had on the viability of the land installment contract. Finally, the authors
propose the reversal of paternalistic protections afforded purchasers, in favor
of extending a protection to sellers in the form of strict enforcement of
forfeiture provisions, or the guaranteed application of all contract remedies
available at law or equity.
A Study Using Theory
of Planned Behavior Model to Explore Participation Motivational
Scale for
Project Management Training Program
Dr. Ming-shan Chang,
Chia-Nan University of Pharmacy and Science
ABSTRACT
In the era of
knowledge economy, Project Management has been already the necessary management
science and technology for organization development. The International Project
Management Association (IPMA) was established from 1965 of Europe, and has
devoted more than 40 years for project management training in the industrial
field. It is the most historical and prosperous international project management
system. Oncoming globalized competition, Taiwan Project Management Association (TPMA)
assists and promotes Taiwan’s industrial competitiveness. TPMA introduces the
knowledge system of International Project Management. TPMA promotes IPMA-D level
Project Management Instructors. At present, there are 82 colleges and
institutions participating and they are aliened strategically with TPMA. In
academy, there were many researches exploring the courses participation
motivations; however, fewer researches explore the nontraditional orientation.
This research used the viewpoints of “Planned Behavior Theory” to build and
analyze the participation orientations for D level Project Manager Instructors’
training program. Using “Planned Behavior Theory” as an evaluation tool for
human behaviors is the academic mainstream in social science. Therefore, Theory
of Planned Behavior as foundations constructs participation orientations for D
level Project Manager of IPMA International Project Management Knowledge System,
which is appropriate for Taiwan’s universities and colleges. In this research
were found significant participation orientations for those project management
students, especially behavior attitude. Taiwan Project Management Association (TPMA)
founded in June 2002. Their mission statements were 1). to research the best
approach of project management and promote applications to varsity industries,
2). to provide consulting services for business and help to solve practical
project management, 3).to distribute project management in publication and to
provide communication fields for industry and academy, 4). to promote project
management training courses and cultivate professional people what business need
(Taiwan Project Management Association, 2008).
A Study of the
Current Learning Organization Profile to Elementary Schools at Pingtung County,
Taiwan
Dr. Ching-wen Cheng,
National Pingtung University of Education, Taiwan
ABSTRACT
Shakespeare said,
“To be or not to be, that is the question.” For the organization in today’s
world, the question is to learn or not to learn. In this global competitive era,
learning is the only way to improve one’s survival ability, and so does an
organization. For a Confucian cultural society such as Taiwan, the idea of
learning has already accepted in people’s daily life. Although people in Taiwan
believe that learning is very important for one’s life, they usually think that
a person only needs to learn when he studies at school. In Taiwan, the idea of
learning organization has been introduced form the Western culture, and is not
developed from Confucius’ teaching. Is the idea of learning organization totally
accepted to a Confucian society? That is the question which the researcher tries
to find the answer. The main purpose of this study is to explore the current
learning organization profile to elementary schools at Taiwan. Due to the
limitation of research resources, the study only surveys elementary school
teachers at Pingtung County, Taiwan. Due to a famous book The Fifth
Discipline published in 1990, a revolution issue of “learning organization”
became a significant trend for the academic area of organization development.
Not only the business leaders but also the management of other areas concerned
to adopt this strategy to improve their organizations. According to Drucker
(1998), the concept of “learning organization” also includes education
organizations, because education organizations have an increasing need to be
more effectively in an ever-changing environment. In this global competitive
era, learning is the only way to improve one’s survival ability, and so does an
education organization. There is no doubt that education organizations should be
transformed into learning organizations and focus on a continuous improvement
process for a long term benefit. For a Confucian cultural society such as
Taiwan, the idea of learning has already accepted in people’s daily life.
The Service Quality Indicators Model for Theme Parks in Taiwan
Dr.
Jiung-Bin Chin, Hungkuang University, Taichung, Taiwan
Mu-Chen Wu, Director of Library, Hungkuang University, Taichung, Taiwan
ABSTRACT
The
statistics for the amount of tourists made by Bureau of Tourism, MOTC (2007)
shows that the amount of tourists in the top 5 theme parks totaled more than 4.5
million men-times in 2007 with an estimated annual output value of US$150
million, including JANFUSUN FANCYWORLD, LEOFOO VILLAGE THEME PARK, YAMAY PARK,
WINDOW on CHINA THEME PARK and Formosan Aboriginal Culture Village. It means the
theme parks are already popular among consumers of different social stratums and
have already become the one of major tourism spots for countrymen. As the
countrymen demands for entertainment and tourism quality have become higher
increasingly, and can’t be tolerate with few differences and high similarities
among theme parks, futuristic overall development has thus become a challenge
for theme parks. Therefore, theme parks shall own definite marketing objects and
understanding and emphasize integrating special theme park atmosphere building,
high-tech entertainment facilities and show and relative products and services
as to make the theme parks owning complete service and functions for serving the
purpose of perpetual business operation. This paper aims at analyzing how to
construct service quality indicators model for theme parks in Taiwan, and to use
5 compositions of PZB service quality to be partial structure composition of
this paper and to make references to current practical operation status as to
develop the preliminary service quality indicators for this research. The Delphi
Method will then be applied for integrating opinions from scholars professional
with service quality or with tourism and management staff of top 5 theme parks
in Taiwan to extract the finalized service quality indicators model for theme
parks in this paper. Finally, conclusion and recommendation provide
industry-related decision makers references to improve overall service quality
in the future! Due to ever-lasting changes in Taiwan economic development and
social structure and the holiday structure change caused by fulfillment of 2-day
weekend since 1988, Taiwan countrymen have had thus more time for leisure and
entertainment activities.
An Investigation of
the Day- of- the- Week Effect on Stock Returns in Mauritius
Sawkut
Rojid, M.
Phil.,
University of Mauritius
Boopen
Seetanah, M.
Phil.,
University of Technology, Mauritius
Roodredevi Jhagdambi,
Msc.,University
of Mauritius
ABSTRACT
The
day- of -the -week effect phenomenon is one of the most important calendar
anomalies that have been observed in many stock markets in all over the world.
This effect implies that a significant
difference in stock return is observed on the different days of the week.
This paper supplements the literature by bringing additional evidences on the
day of the week effect for the case of an emerging African Stock Exchange,
namely Mauritius, using daily data on the Stock Exchange of Mauritius Index (SEMDEX)
from July 1989 to June 2008 and using the GMM approach. Results from the
analysis did not find, in general, significant differences in stock returns
across trading days in the market.
The day- of -the
-week effect is a form of market anomaly. Such anomalies are often tested for
developed markets and there is limited evidence from emerging markets. Hence,
there is a need to conduct some research about the information efficiency aspect
of the Stock market of Mauritius. day- of- the -week effect is a contradiction
to the Efficient Market Hypothesis (EMH), according to which no investor has the
ability to have consistently have excessive returns for a long period. For many
decades, many researchers have tried to determine find out if it is possible for
someone to predict the future determination of stock prices. According to Fama
(1970), efficient market theory states that “prices reflect all available
information.”. In a perfectly efficient market it is impossible to outperform
the market. Fama (1970) supported the existence of three forms of market
efficiency: namely weak, semi-strong, and strong. However, there also
exists the presence of so- called calendar effects, which imply that equity
returns are not independent of the month of the year, week of the month and of
the day of the week. These are evidences against random walk theory. We focus
particularly on the day- of- the- week effect, which refers to the
existence of a pattern on the part of stock returns, whereby these returns are
linked to the particular day of the week. This hypothesis was first introduced
by Osborne (1962), and later elaborated on by Lakonishok and Maberly (1990).
Investigating the Sensitivity of Variations in the Taste Distribution to
Advertising
Dynamics and Pricing Strategies in a Dynamic Duopoly
Yao- Hsien Lee,
Institute of Management of Technology, Chung Hua University, Taiwan
Chien- Shiun Chen,
Institute of Management of Technology, Chung Hua University, Taiwan
Sheu-Chin Kung,
Institute of Management of Technology, Chung Hua University, Taiwan
ABSTRACT
This
paper modifies the model of Piga (1998) by introducing the taste diversity and
adopts a more flexible taste distribution form for consumers’ taste differences
in the framework of perfectly cooperative advertising. The results show
that increasing the value of taste diversity leads to higher prices and
advertisings and the number of consumers. We use numerical illustrations to
present managerial implications and give some insights into the steady state
prices and advertisings in the context of an asymmetrical open loop information
structure. In the last of 40 years there has been a growing interest in applying
differential game models to investigate optimal competitive dynamic advertising
and pricing decisions. In the areas of optimal pricing and advertising
there is now a considerable body of literature; the reader is refereed to the
survey articles by Sethi (1977), Little (1979), Feichtinger and Jorgensen
(1983), Eliashberg and Chatterjee(1985), Dolan et al. (1986), Jorgensen (1986),
Feichtinger et al.(1994), Erickson (1995), and Dockner et al.(2000, chapter 11).
The above literature has indicated that previous advances in obtaining a useful
understanding of oligopolistic dynamic behavior stem from two primary sources:
noncooperative(or cooperative) game theory and economic dynamics.
However, elements from both areas have been brought together with economics and
management science mostly in the dynamic models of noncooperative game.
The model-based literature on dynamic cooperative advertising is sparse.
Recently, an attempt to study cooperative advertising in a dynamic game
framework is Piga (1998) who analyses a differential game of duopolistic
competition with a differentiated product where firms can use advertising and
price as competitive tools. Piga assumes a market characterized by the
fact that advertising can either be cooperative or predatory (see e.g., Friedman
(1983); Fershtman (1991); Martin (1993); Slade (1995)) because advertising can
both increase market size and affect market shares.
The Effect of IMC on
Brand Image of Laptops/Notebooks
Ying-Chu Lu,
National Cheng-Kung University, Taiwan
ABSTRACT
Integrated Marketing
Communication (IMC) is an evolutionary theory devised in the 1990s that combines
the use of AD, PR, DM, SP and PS. The goal of this research is to find out how
IMC, with its attributes of “one-voice, two-way communication, umbrella of all
marketing mix,” works on the brand images of the competitive laptops brand
industry. This research
investigates (1) how to generate a marketing mix to achieve synergy and (2) the
relationship between IMC implementation performance and brand image. From the
1970s to the 1980s, the US entrepreneurs developed an evolutionary theory of
advertising in response to the economic recession. The American Association of
Advertising Agencies (4A) named it “New Advertising,” while the ad industry
veterans called it as “Whole Egg” or “orchestration” (Kalish 1990). This new
approach sought to make advertising and communications more consistent and
coherent. However, the fragmentation of media, new communication technologies,
segmentation techniques and database applications threatened the traditional
dependence on advertising agencies’ dependence (Hutton 1996), leading to the
rise of integrated marketing communication (IMC). In 1950 the master of
advertising, David Ogilvy, articulated the importance of brand image. He stated
that all advertisement should contribute something useful to the brand image;
because it is the brand the company is trying to sell for years, and the
advertisements should project the same image year after year which is difficult
to achieve. The very famous description of the importance of brand image of
Ogilvy: “What you say in advertising is more important than how you say it!”
(Ogilvy 1963) IMC involves integrating marketing mix on the basis of brand
especially when entrepreneurs face the global market (Kevin 1999; Schultz 2001).
A.C.Shu (1999) stated that the total value of integrated marketing communication
(IMC) is to create brand equity and brand image.
Developing Hierarchical
Structure for Assessing the Impact of Innovation Factors on a
Firm’s Competitiveness - A Dynamic-Capabilities Approach
Dr. Shyh-Hwang
Lee, Shu-Te University, Taiwan
ABSTRACT
The traditional corporate resource-based
perspective of the past dictated that competitive advantage rested on a variety
of mainstream elements related to basic core values like quality, cost and
timeliness. Nowadays, innovation has become an important additional factor in
the challenge to create and sustain competitive advantage in a rapidly changing
business environment. However, there have
been inadequacies in the conceptualization and transition into operation of
organizational innovation constructs and its effective link to competitive
advantage. In this paper’s dynamic capabilities approach of characterizing a firm as a
collection of resources and innovation capabilities, a hierarchical structural
model is developed to link innovation and core values to competitive advantage
of a firm. Then innovation factors are prioritized to facilitate the
understanding of the extent of the various impacts
on competitiveness
by applying an analytical hierarchical process integrated with a fuzzy approach.
A case application taken from Taiwan’s IC design industry is demonstrated in the
results section. This structure can be further utilized to assess the
competitiveness of the firm itself. Managers and organizational researchers
have long been concerned with studying how to build, evaluate and sustain
competitive advantage of a given firm (Porter,
1980; Barney, 1986; Oral, 1986; Peteraf, 1993; Wiggins & Ruefli, 2002). Throughout the 1980s and ‘90s, business
management was governed by the appeal of the sectors in which the company was
competing and by the competitive position of the company in those sectors.
Competitive advantage rested on a variety of mainstream values like quality,
cost and timeliness during these two decades (McGahan and Porter, 1999, 2002;
López, 2005).
Although each factor remains important, it is unlikely by itself or as part of a
group to provide a sustainable competitive advantage.
The Relationship
Between School Success and the Emotional Intelligence of
Primary School
Headmasters and Teachers
Dr. Erol Eren, Dean, Professor, Beykent
University, Turkey
Dr.Ercan Ergun, Gebze Institute of
Technology, Turkey
O. Cumhur Altýntas,
Gebze Institute of Technology, Turkey
ABSTRACT
This study investigates the
relationship between emotional
intelligence and school success. To this end, empirical research has been
conducted on a sample of primary school headmasters and teachers. Their
emotional intelligence has been assessed and its relation to students’ success
on the secondary school examination has been investigated. According to the
results, a significant relationship exists between primary school headmasters’
and teachers’ emotional intelligence and their schools’ success. The number of
research studies related to emotional intelligence has increased in recent years
(Ashkanasy & Daus, 2002).
The lack of satisfying results regarding the effect of Intelligence Quotation
(IQ) on work performance in several prior research studies, however, has
directed researchers to search for a relationship between emotional intelligence
and work performance (Goleman,
2001). In this context, the aim of this study is to analzye the relationship
between emotional intelligence and a school’s success. In this study, the
emotional intelligence concept and its relationship with school success is
addressed using the results of research among the headmasters of primary schools
in Isparta city center. Emotional
intelligence is described as the
“right sensation of emotions, ability
of evaluation and expression; ability of reaching emotions supporting to think
and produce these ones; ability to understand emotions and emotional knowledge;
ability to arrange the emotions to increase emotional and mental growth” (Mayer
& Salovey, 1997: 10). According to this description, emotional intelligence has
four main components (Goleman, 2001):
Purchasing Equals
Happiness Equals Giving! How Do you Plan to Spend Your Weekend?
Mohammed M. Nadeem, Ph.D., National University,
San Jose, CA
ABSTRACT
Happiness and peace of mind are attained by
giving them to someone else. If happiness is incomplete until it is shared, then
can consumers put a price on happiness? Aaker and Liu (2008) argued that when it
comes to happiness and giving, we should think about time, and not necessarily
about money to make others happy. Simply because beyond money, volunteering of
time, and expertise (Aaker and Liu, 2008) should receive more attention due to
its potential. Particularly when economic growth, by itself certainly is not
enough to guarantee consumer’s well-being. Especially, when nothing in life is
as important as we think it is (Kahneman, 1998) while we are thinking about it.
If greater wealth implies greater happiness only at quite low levels of income
then measurement of contentment becomes a reasonable inquiry. This research
explores how consumer’s wealth levels have a limited impact on happiness. In
addition, how people primed with time (Aaker and Liu, 2008) becomes more focused
on high- rather than low-level goals due to the inherent association of time
intentions and the future (Trope and Liberman 2003). This research mainly
examines---if money doesn't necessarily buy happiness, what does? The final
sections discuss the limitations of the exploratory study by providing
conclusions and ideas for future research on how---purchasing equals happiness
equals giving. Research on time and money, two fundamental resources in
people’s lives, has enjoyed much resonance lately—particularly in the domain of
decision making, the psychology of discount rates, and the valuation of future
possibilities (e.g., Loewenstein 1987; Malkoc and Zauberman 2006; Zauberman and
Lynch 2005). However, scant research has examined the downstream effects of
asking individuals a simple question related to time or money such as, “How much
time are you willing to donate?” or “How much money are you willing to donate?”
What types of mindsets are activated when one thinks about time versus money?
Relationships among
Human Capital, Human Liabilities, Self-Efficacy, and Job-Search Intensity
Dr. Yih-Yuan Yang, ChungChou Institute of Technology, Taiwan
Dr. Ying-Chieh Yang,
ChungChou Institute of Technology, Taiwan
ABSTRACT
The purpose of this study is to explore
predictors of obtaining employment. The study includes six hypotheses and one
research question. Through path analysis, all hypotheses are supported by
findings. The survey was sent to 800 respondents, but 623 questionnaires were
usable, for a response rate of 77.9%. The effect of constraint factors/human
liabilities of individuals on their job-search intensity is indirect and
negative. Self-efficacy mediates relationships between human liability and
job-search intensity, because human liability negatively influences job-search
intensity through self-efficacy. Similarly, human capital has the indirect
impact on job-search intensity. The indirect effect of human liability on
self-efficacy through human capital is stronger than the direct effect of human
liability on self-efficacy. Therefore, human capital mediates the impact of
human liability on self-efficacy. The job-search intensity model in this study,
finally, provides limitations and direction for future research related to
job-search intensity. From subprime mortgage, Lehman Brothers bankruptcy,
Merrill Lynch’s sale to Bank of America to the collapse of Washington Mutual,
not only does the financial and economic crash of 2008 destroy the fiscal and
monetary systems of the U.S. and Europe, but it also results in a major
geopolitical setback for these countries (Altman, 2009; Morris, 2008). Moreover,
James (2009) points out that the great crisis has caused the brutal recession in
G-8 (the group of highly industrialized states). That is, consumers and
businesses in the countries have deeply frightened by the crisis and then in
response they have sharply retrenched. Not only do theses causes lead millions
of people to be laid off, but they also strongly impact the global job market.
The Mediating Influence of
Service Quality Satisfaction and Information Trust on the e-CRM
Process Model:
An Empirical Bank Marketing Research
Dr. Shu-Fang Lai and Dr. Ying-Chien
Hsiao, Takming University of Science and Technology, Taiwan
Dr. Yi-Feng Yang, Shu-Te
University, Taiwan
Yuan-Chih Huang, Takming
University of Science and Technology, Taiwan
I-Chao Lee, Department of Business
Administration, Kao-Yuan University, Taiwan
ABSTRACT
This study aims to achieve a
better understanding of a natural e-CRM phenomenon,
namely the mediation effect of marketing interaction relationship on the
performance of its e-CRM process. A
total of 300 questionnaires were
distributed in
the summer of 2006 to four
Taiwanese banks, which had applied the e-CRM system to their customer service
operations. Mediator
hierarchical regressions were applied to the results, and it was discovered that
when institutions used
e-CRM services with web-based applications to create and raise levels of service
quality satisfaction and information trust, this resulted in improvements in
customer interaction, potentially helping the institution achieve the so-called
“profit-maximizing portfolio” level. Our finding of this mediating effect in the
e-CRM process extends previous insights on the leadership process to the new
field of e-CRM study. Most empirical banking systems experience some degree of
inefficiency in their business operations and performance, especially with
regard to managing the quality of buyer-seller relationships and service
marketing. Many studies have concluded that these arise for the following major
reasons: the service is very complex and customized in the transaction process;
the external environment is dynamic rather than static; and the marketing is
uncertain when sellers are uncertain as to what the service buyers want. To
respond to this challenge, many studies have suggested considering the concept
of customer relationship management (CRM). The concept of CRM is often defined
as the marketing interaction relationship between buyers and sellers
(Christopher, Payne and Ballantyne, 2002; Ryals and Knox, 2001).
An Empirical Study on
Operation Efficiency for Metropolitan International Hotels in Taiwan
Wong Chao-Tung,
National Cheng Kung University, Taiwan
Dr. Chen Chia-Yon, Professor,
National Cheng Kung University, Taiwan
Cheng Jung-Feng,
National Cheng Kung University, Taiwan
ABSTRACT
Data Envelopment Analysis (DEA) can process the
relative efficiency of multiple input and output resulting from decision-makings
of multiple administration units and the efficiency value evaluated by such
method is the most advantageous outcome under objective assessment. Fierce
competition in overall Taiwan metropolitan international hotel industry is
validated by the average overall technical efficiency ratio of 0.892984 in
Taiwan metropolitan international hotels in as of 2006 deduced by the
application of CCR and BCC respectively of DEA. The sequence of overall
technical skill in respect of regional distribution is Taipei city, Hsinchu
city, Tainan city, Taichung city and Kaohsiung ranking the last where their
overall technical skill rankings are 0.934498、0.934017、0.894201、0.836523
and 0.804123 respectively. The efficiency improvement for international hotels
of relatively low efficiency can be derived by slack variable analysis.
Efficiency analysis evaluated by BCC (Banker, Charnes, and Cooper) model reveals
that the average pure technical skill efficiency is 0.91546 and average scale
efficiency is 0.974895. Further analysis regarding operation inefficiency
discovers that hotels of non efficiency in term of real pure technical
efficiency amount to 25, and hotels of real scale efficiency total up to 28.
That shows insufficiency of scale efficiency is bigger than pure technical
efficiency. Researches adopting sensitivity analysis are few normally. In
respect of efficiency analysis results evaluated by sensitivity analysis adopted
in CCR model, Taiwan metropolitan international hotels have competitive edges in
such input factors as restaurant costs and such output factors as hotel room
revenue and restaurant revenue but are competitive in such input factors as the
number of rooms, ad campaign and employees’ wages. Understanding the
competitive input and output factors owned by each hotel and offering
decision-makers useful reference information can help each hotel maintain
competitive edges. This research can provide the management some suggestions
for decision making and futuristic management trends.
The Role of Employee
Resource Groups for Different Sexual Orientation Employees in Corporate America
Gerald D. Hollier, Jr., University of Texas at
Brownsville
ABSTRACT
This paper provides social and legal framework
related to the validation of the Employee Resource Groups (ERGs) initiative of
the Gay, Lesbian, Bisexual and Transgendered employees (GLBT) as a crucial step
toward the realization of workplace equality. It presents and analyze data
related to employment discrimination and employers health benefits. Then it
proffers conceptual articulation about diversity Human Rights Campaign, followed
by an application of the Corporate Equality Index. The paper argues that ERGs
also help foster a sense of safety and acceptance for GLBT employees within the
workplace. These groups provide a clear line of communication between GLBT
employees and management, ensuring that policies and practices have their
intended effect. GLBT ERGs have been involved in policy-making, providing input
on marketing and workplace protection policies, attracting and retaining
talented individuals, leadership development, cultural change and representation
at external events. Today gays, lesbians are to be found in every type of
organization, institution, career field, and profession. In the United States
today, it is legal in 30 states (in the private sector of the workplace) to
fire, decline to hire or promote otherwise discriminate against an employee
merely because of his or her sexual orientation or perceived sexual
orientation. At present no federal U. S. law addresses protection from
discrimination on the basis of sexual orientation for private employers.
Although not required by law, thousands of employers are already providing
equitable benefits to their gay and lesbian employees. Many of the Fortune
500 companies and other successful businesses have been the quickest to adopt
gay and lesbian inclusive policies.
Factors Influencing
International Students’ Evaluations of Higher Education Programs
Dr. Jose María Cubillo-Pinilla,
Universidad Politécnica de Madrid, Spain
Dr. Javier Zuniga, ESIC Business & Marketing
School, Spain
Dr. Ignacio Soret Losantos, ESIC Business &
Marketing School, Spain
Dr. Joaquín Sanchez, Universidad
Complutense de Madrid, Spain
ABSTRACT
The purpose of this study is to analyze the
factors that influence the decision-making process of overseas students. In
particularly, we focus on the influence of the country’s and the institution’s
image on the evaluation of the academic program. This study shows a positive
relationship between the country’s and the institution’s image, as they are
perceived by the prospective students, and how they evaluate academic programs.
The country image exerts a strong influence on the institution’s image and, to a
lesser extent, on the program evaluation. Likewise, a significantly positive
relationship is evidenced between the institution’s image and the program
evaluation. As a result of growth in the global economy and, in order to
fulfill business requirements for international competence and skills,
university graduates often evaluate the possibility of doing graduate studies
abroad to improve their skills and capabilities. In recent years, the number of
students in search of higher education (HE) programs abroad has risen sharply.
Data from UNESCO for the 2002/2003 academic year showed that there are more than
2.1 million graduate students studying outside their home countries worldwide, a
40% increase from the 1.5 million in the 1989/1990 academic year.
Integrating Leadership
Development and Continuous Improvement Practices in Healthcare Organizations
Stewart L. Tubbs, Ph.D., Eastern Michigan
University
Brock Husby, The University of Michigan
Laurie Jensen, Henry Ford Health System
ABSTRACT
In the 2008 American presidential race, three
issues were uppermost in the minds of voters, the economy, the war in Iraq, and
healthcare. In addition, Zakaria (2008) makes a compelling case that all
American business organizations are in danger of falling behind those of other
countries, not because of our declines, but because the others are improving at
a faster rate than we are. This paper addresses possible methods for improving
American healthcare organizations using a Systems Approach (Tubbs, 2009; Atwater
and Stevens, 2008). Specifically, it addresses proven methods for successfully
integrating Leadership Development and Continuous Improvement practices in
health care organizations. In 1999, the Institute of Medicine (IOM) published
its report, To Err is Human (Corrigan and
Donaldson, 2000), describing a fragmented United States healthcare system
that was laden with errors and grossly unsafe for patients. The report detailed
a comprehensive strategy by which government, health care providers, industry,
and consumers could improve quality and safety with a goal of reducing medical
errors by 50% in five years. The IOM followed up this report in 2001 with,
Crossing the Quality Chasm, (Berwick, 2002; Leape
and Berwick, 2008), outlining six dimensions of quality necessary to
achieve its quality improvement goals. The six dimensions include: Safety,
effectiveness, efficiency, patient-centered practices, timeliness and equity.
Today, nine years later, there is still little evidence of any significant
progress in achieving the 50% improvement sought by the IOM. All the while, the
U.S. continues to spend more than twice the amount on health care as all other
advanced industrialized nations, while falling well short of reaching achievable
benchmark measures of quality care, underscoring the urgency for a new archetype
necessary to transform quality and continuous improvement in healthcare
(Anderson, 2004).
Complexities of
Achieving a Single Pharmaceutical Market in the European Union
Aysegul Timur, Ph.D., Kenneth Oscar Johnson
School of Business, Hodges University, Naples, FL
ABSTRACT
The pharmaceutical industry has complex
characteristics not only in the European Union (EU) but also elsewhere. A
defining difference from other industries is that several third parties, besides
the manufacturer and consumer, are involved on both the demand and supply sides.
Regulating the pharmaceutical industry is a particularly difficult challenge for
policy makers, who seek low health care costs and affordable drugs, but also
want accessibility to the highest quality medicines and more generally a
successful industry. All these complex characteristics magnify the difficulty of
achieving a single market in pharmaceuticals through the market integration
process of 27 nations in the European Union. It is a fact that pharmaceutical
policy is still primarily determined at the national level due to differences in
health care systems, pricing and reimbursement regulations, but there is some
evidence of movement toward “European Community” and the harmonization of
markets across the members by the European Commission’s expanding role. The
pharmaceutical industry in the European Union has experienced a great deal of
effort on the part of member countries to harmonize disparities among health
care systems and regulation and reimbursement practices. The purpose of this
paper is to look for some evidence toward the achievement of the single market
by looking at price differences in five major pharmaceutical markets. The
results show that progress toward the achievement of a single market is evident
in that price differentials are decreased over time between 1994 and 2003,
relative to a low priced country, Spain.
Hybrid Approach in
Neural Network Design Applied to Financial Time Series Forecasting
Dr. Chokri Slim, Manouba University, ISCAE,
Tunisia
ABSTRACT
Artificial Neural Networks (ANN) has been
successfully applied to the financial time series forecasting, which offer
greater computational power than the classical linear models and detect the
complex behavior in the data. Several algorithms have been proposed for choosing
the best architecture and training the network. However, one of the main
difficulties of ANN’s design is the selection of an adequate architecture. In
this paper, we propose a hybrid approach based on genetic algorithm (HNN) for
the selection of an optimal architecture and learning parameters for the ANN.
The platform of evaluation of the novel model involves comparisons with
Classical backprobagation Neural Network (CBNN), Stochastic Neural Network (SNN)
and the Fuzzy Neural Network Model (FNM) .The daily data of the TUNINDEX from
Tunisia Stock Exchange is collected for technical analysis. The results find
that while the proposed HNN is running yielding nets that requires a lower
computation cost and perform consistently well from classical search.
Statistical methods and neural networks are commonly used for financial time
series forecasting. Empirical study have shown that Neural Networks outperform
linear regression, Arn (1993) and White (1992), since stock markets are complex,
nonlinear, dynamic and chaotic Trippi (1996). Neural networks are reliable for
modeling nonlinear, dynamic market signals Baum et al (1988) and Eiton (1993).
Neural Network makes very few assumptions as opposed to normality assumptions
commonly found in statistical methods. Neural network can perform prediction
after learning the underlying relationship between the input variables and
outputs. Back-propagation neural network is commonly used for price prediction.
Corporate Governance and Earnings Management:
An Empirical Study of the Saudi Market
Dr. Mohammed A. Al-Abbas, King Khalid
University, Saudi Arabia
ABSTRACT
This paper seeks to examine the association
between corporate governance mechanisms and earnings management in the Saudi
business environment, utilizing a sample of Saudi joint stock companies for
2005, 2006 and 2007. Earnings management is measured by current abnormal
accruals using Teoh et al.’s model (1998).Regression analysis examines the
relationship between earnings management and corporate governance variables
(including board composition, board independence, separation between the
responsibilities of the Chief Executive Officer (CEO) and the Chairperson and
the composition and independence of audit committees). In addition, the
auditors' size, and a number of other variables have been included to control
for other influential factors. The results of the study provide no evidence that
corporate governance factors mitigate against earnings management in the Saudi
environment. However, auditing firm’s size negatively relates to abnormal
accruals, which indicates that auditing firm’s size is an important factor with
regard to the extent of earnings management. The results highlight the need to
enhance the legitimacy of corporate governance in Saudi corporations. In
addition, it provides insights into the audit quality role to mitigate against
earnings management which, in turn, ought to be considered by audit committees
in their decisions of selecting audit firms.
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